What Makes a Good Fintech Company?
The latest edition of KPMG’s twice-yearly “Pulse of Fintech” report, released on July 31, offered a rosy outlook for the sector. According to the report, fintech companies have received $122 billion in funding over the past three years. Healthy venture capital contributions were not the only positive sign, as the report detailed a significant uptick in private equity and mergers and acquisitions deals through Q1 and Q2 2018, the level of which has already exceeded 2017’s totals.
With more consumers using smartphones for a variety of activities, and artificial intelligence (A.I.), Big Data, cloud computing, and blockchain facilitating quicker, more efficient financial transactions and systems, fintech is primed for further success – and its leaders are chiming-in with advice on how to get there.
Matt Cohen, the CEO of GRAND, believes that the simplest fintech apps stand the best chance of succeeding because they remove the intimidation factor for users. “Dealing with money is stressful for most and intimidating for many,” Cohen explained to Forbes. “Forcing simplicity in a product and stripping out extraneous bells and whistles (at least at the outset) can go a long way. When things are easy to understand they also often feel more trustworthy – very important, especially if the app is asking users for personal information or bank account information.”
Data-driven asset lending platform The Credit Junction’s CEO, Michael Finkelstein, advocates retaining a human element when it makes sense to do so, rather than defaulting towards automation. “We lend to people and not businesses,” said Finkelstein. “Once you identify a pain point [with your product], the next step is to ask yourself whether or not it should be alleviated by introducing technology. If the answer isn’t a clear ‘yes’, then there may be a reason for that.”
Acorns co-founder Walter Cruttenden believes fintech could stand to improve the user experience for its customers. “Whether it’s better investing, banking, trading, or proxy services there seems to be a lot of opportunities that can be captured with smart design, leveraging the latest technology to produce a thoughtful product,” he said. He also reminded fintech upstarts that, for all the excitement that comes with fresh ideas and approaches, traditional financial giants are not going away. “The big boys have huge tech budgets and will likely make or buy whatever they need to stay competitive,” Cruttenden explained. “Startups have a slight advantage if only because fortune favors the bold.”
It’s an exciting time for fintech innovators and customers alike. With new creative, innovative products being introduced all the time, it seems even more game-changing ideas could come at any moment. Future fintech offerings will only benefit if they keep things simple, develop quality user experiences, and remember the human part of the equation.
Tickeron’s Fintech Innovation: Combining Human and Artificial Intelligence
The founders at Tickeron understand that technology can be used to enhance human capabilities, particularly when it comes to investing. Humans simply aren’t capable of performing some of the tasks that algorithms can, such as scanning thousands of stock, ETF, cryptocurrency, and forex charts and data points every day. The A.I. can help investors make more data-driven trades.
At the same time, Tickeron realizes that technology can be intimidating for some, particularly those new to using algorithms to get trade ideas. That’s why the human element – real life advisors and financial writers – are also available to discuss investment strategies, trade ideas, and even just the daily financial news.
It’s this combination of human and artificial intelligence that makes Tickeron different from any other financial website or platform, and it is also what makes us one of the more unique fintech companies in the marketplace today. Start a free 45-day trial today on tickeron.com, and find out for yourself.
